Market Perspectives of Ground Segment As a Service (Gsaas)
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Market perspectives of Ground Segment as a Service (GSaaS) Research Paper Published at the 71th International Astronautical Congress (IAC) – the Cyber Edition 2020 (IAC-20,B6,1,5,x60462) October 2020 www.pwc.fr/space Contents Acronyms ...........................................................................................................................................4 Abstract ..............................................................................................................................................5 Introduction ..................................................................................................................................6 Context and paper description ..............................................................................................6 Methodology and caveats .....................................................................................................6 Preamble ..............................................................................................................................6 1.3.1 Defining Ground Segment activities ............................................................................................................ 6 1.3.2 Ground Segment value chain ..................................................................................................................... 6 1.3.3 The model “as a Service” ........................................................................................................................... 7 Genesis of Ground Segment as a Service ...........................................................................7 1.4.1 GS activities require investment and time ................................................................................................... 7 1.4.2 GS activities have been outsourced for decades ........................................................................................ 8 Ground Segment as a Service today ..........................................................................................8 GSaaS Service definition ......................................................................................................8 GSaaS demand ....................................................................................................................9 GSaaS supply .................................................................................................................... 10 2.3.1 Differences in ground station ownership and coverage ............................................................................. 10 2.3.2 Comparison of selected GSaaS suppliers................................................................................................. 11 Matching supply with demand ........................................................................................... 11 2.4.1 Pricing ...................................................................................................................................................... 11 2.4.2 Ground station performance and service quality ....................................................................................... 12 2.4.3 Service extensiveness .............................................................................................................................. 13 2.4.4 Other criteria ............................................................................................................................................ 14 Market perspectives of GSaaS ................................................................................................. 14 Potential evolutions on the demand side ........................................................................... 14 3.1.1 New entity types ....................................................................................................................................... 14 3.1.2 New mission types ................................................................................................................................... 15 3.1.3 Security-driven satellite operators ............................................................................................................. 16 Potential evolutions on the supply side ............................................................................. 16 3.2.1 Enhanced and new services provided by GSaaS providers ...................................................................... 16 3.2.2 Partnerships between GSaaS providers and other companies ................................................................. 16 2 Market perspectives of Ground Segment as a Service (GSaaS) | www.pwc.fr/space | All rights reserved Technological and regulatory evolutions ........................................................................... 17 3.3.1 Evolution of technologies .......................................................................................................................... 17 3.3.2 Evolution of licensing regulation ............................................................................................................... 19 Summary of drivers influencing the market ....................................................................... 20 Evolution of barriers to entry in the GSaaS market ........................................................... 20 Conclusion ................................................................................................................................ 21 Acknowledgements ......................................................................................................................... 21 References ...................................................................................................................................... 22 3 Market perspectives of Ground Segment as a Service (GSaaS) | www.pwc.fr/space | All rights reserved Acronyms aaS as a Service ADS-B Automatic Dependent Surveillance – Broadcast AI Artificial Intelligence AIS Automated Identification System API Application Programming Interface AWS Amazon Web Services CAPEX Capital Expenditure CELP Colombo-Ecuadorian Lunar Program CONOPS Concept of Operations DoD Department of Defence DSA Deep Space Antenna EO Earth Observation EXA Ecuadorian Space Agency FCC Federal Communications Commission FPA Flat Panel Antennas GAC Global Affairs Canada GEO Geosynchronous GS Ground Segment GSaaS Ground Segment as a Service HA High Availability IoD In-orbit Demonstration IoV In-orbit Validation ISP Innovation, Internet Service Providers ITU International Telecommunication Union KSAT Kongsberg Satellite Service LCT Laser Communication Terminals LEO Low-Earth Orbit LEOP Launch and Early Orbit Phase NASA National Aeronautics and Space Administration NOAA National Oceanic and Atmospheric Administration NRT Near-Real Time OPEX Operational Expenditure PoC Proof of Concept RF Radio Frequency RSSSA Remote Sensing Space Systems Act SSC Swedish Space Corporation TT&C Telemetry Tracking and Control UHF Ultra High Frequency USAF US Air Force USGS United States Geological Survey VHF Very High Frequency VHR Very High Resolution VPC Virtual Private Cloud 4 Market perspectives of Ground Segment as a Service (GSaaS) | www.pwc.fr/space | All rights reserved Abstract The emergence of NewSpace has led to a surge in new satellite operators entering the market. In order to offer the best service to their customers, these operators need to communicate with their satellites, relying on an effective ground segment. The latter requires specific expertise and infrastructure, as well as significant resources – both human and financial. Yet, these new satellite operators do not always have the experience, the capital or the willingness to invest in their own ground segment – risking a financial overkill for their project. Satellite operators are thus looking for a ground segment sold “as a service”, to flexibly and efficiently communicate with their satellite without having to invest upfront in a wholly dedicated ground segment or having to deal with licensing issues. However, until recently, there was no specific offer on the market adapted to answer these new needs. This mismatch between supply and demand created a gap in the ground segment market, which gave rise to a new type of offer: Ground Segment as a Service (GSaaS). GSaaS abstracts ground segment infrastructure similarly to Infrastructure as a Service (IaaS) and cloud computing. Indeed, GSaaS mutualises ground segment infrastructure, relying on a network of ground stations which capacity is shared among different satellite operators. Thus, GSaaS acts as a lever that enables satellite operators to launch their business faster and to focus on their core business, which is, in essence, the provision of data. Acknowledging these advantages, new users, including public entities, have started expressing interest in utilising this service. The paper provides a comprehensive understanding of GSaaS, its current market and its potential evolution in the future. The paper first aims to present the context in which GSaaS was born. It then provides a definition of GSaaS, together with a state-of-play analysis of the current market, assessing both demand and supply. Finally, the paper offers perspectives on the market evolution. To do so, it explores the market drivers that could impact the GSaaS market in the future and assesses their potential impact. 5 Market perspectives of Ground Segment as a Service (GSaaS) | www.pwc.fr/space | All rights reserved all information available in